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Longmont council will weigh in on sweeping changes to city's economic development policies

Consulting firm recommends turning virtually all economic development over to Longmont Area Economic Council

By Tony Kindelspire Longmont Times-Call

Posted:
01/17/2014 07:15:41 PM MST

Updated:
01/17/2014 07:16:16 PM MST

The Longmont City Council on Tuesday night will be asked to decide on sweeping changes to the way economic development is done within the city.

The consulting firm hired by the city and the Longmont Area Economic Council recommends the LAEC broaden its scope beyond recruiting and retaining primary employers, which are companies that produce goods and services sold elsewhere, bringing new money into the community.

Avalanche Consulting is recommending the LAEC also begin working with retailers and other nonprimary employers, something it has never done in its 33-year history.

"What the recommendations call for is taking the programs that we (the city) currently provide as direct assistance and support and transfer those to the LAEC," said Shawn Lewis, the assistant city manager.

The programs include the city's economic gardening program and startup grants, which currently are managed within the city's economic development department.

"Longmont doesn't have a, quote, 'front door' for economic development," Lewis said. "Meaning, there's not one central location where any business can go for one-stop assistance."

About 75 individuals participated in various workshops hosted by Texas-based Avalanche, Lewis said, and most of them were from the private sector. Even those with experience doing business in Longmont were sometimes confused about which entity -- the city or the LAEC -- had responsibility for certain things, he said.

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"There has been role confusion between the city of Longmont and the LAEC ... due to overlapping goals and responsibilities," Lewis said. "In my experience that, at times, has led to unhealthy competition and inadequate communication between the two organizations."

Despite the fact the two entities have both made strides to work more closely in recent months, "the structure that created (the confusion) still exists," he said.

The consultants also recommend creating the position of "economic development liaison" within the city -- a position that does not currently exist.

"That's probably the one that we (Tuesday night) will spend the least amount of time on," Lewis said. "We think the role that's described in that position is actually one that could be assumed by existing staff."

The final recommendation is that the city's economic development department, which didn't even exist under that name five years ago, undergo another name change to avoid any perceived duplication with the Longmont Area Economic Council.

The consultants' report specifically recommends that any redevelopment projects stay within the purview of the city.

What is not recommended is any cutting of any services the city offers businesses, Lewis noted, but rather shifting certain services from the city over to the LAEC. He said the report also stresses a need for more emphasis on entrepreneurship.

Judging by the recommendations as they stand, the two city staff members who would be most affected appear to be the city's economic development director Brad Power, who was hired in 2009, and economic development manager Doug Bene, who was hired in 2006.

Power declined to comment and Bene could not be reached for comment late Friday afternoon.

Lewis wouldn't comment on specific staffers or positions other than to say that if council approves the consultants' recommendations, the city manager will ultimately decide on any staff changes.

"Potentially affected employees have been notified that the reorganization that may occur with this change could affect staffing levels," Lewis said.

The report recommends the LAEC increase its staff, which is currently at two and will be three when it hires its new CEO. A funding increase to the LAEC also will be required for it to fulfill its additional functions, the report said.

Andy Bade, LAEC board chairman, said his board was informed of the proposed changes at an executive session at its monthly meeting Monday. He said he considers the recommendations an "affirmation" of the work the LAEC is doing.

"It will be interesting to see what the city council's reaction is but we're certainly willing to be a stronger partner with the city if that's the direction they want to go in," said Bade, who represents Amgen on the LAEC board.

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